Jadestone’s Nam Du, U Minh offshore gas fields near development
Jadestone Energy’s field development plan (FDP) for the Nam Du and U Minh gas fields, offshore southwest Vietnam, is in the final stages of approval by the Vietnamese government approval process. FDP approval constitutes official project development sanction.
Singapore-based Jadestone anticipates final approval of the FDP, which includes approval of the gas price, shortly. The company expects to execute a gas sales and purchase agreement in the coming months.
The company has begun engineering and procurement activities in connection with the development, which remains on schedule for first gas production in late 2021.
All major contracts and other commercial arrangements relating to the project are in final form, and ready for execution upon project sanction. These include a facilities engineering, procurement, and construction contract, a floating production, storage, and offloading (FPSO) vessel lease, a joint development agreement for the two fields, and a tie-in services agreement for connection into the Ca Mau pipeline.
Jadestone is tendering the transportation and installation work and the drilling rig and long leads, which are planned for contract award in second-quarter 2020.
The company expects 2020 crude oil production between 13,500–15,500 b/d, average unit production costs between $20.50–23.50/bbl, and capital spending between $160–$190 million. Also expected is drilling of H6 infill well at Montara, and 50H infill well at Stag, both offshore Australia.
Jadestone has 100% operated working interest in Stag, Montara, Nam Du and U Minh and has executed a sale and purchase agreement to acquire 69% operator interest in the Maari asset in shallow water offshore New Zealand.
